This is a circuit board alliance agreement between a high-cost manufacturer and a low-cost manufacturer of circuit boards. The high-cost manufacturer wishes to establish a lower-cost manufacturing capability, and the low-cost manufacturer wishes to establish itself as a quality manufacturer. This document defines their working relationship.
Kansas Circuit Board Alliance Agreement Contract
Category:
State:
Multi-State
Control #:
US-TC0515
Format:
Word;
PDF;
Rich Text
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Alliancing is a co-operative form of contracting where the participants enter into a relationship (alliance) which is designed to align the commercial interests of the participants. Each participant in the alliance will share in the success or failure of the project and in decision making and risk management.
Treaty ? A contract or agreement between countries. Alliance ? An agreement made for the mutual benefit of two or more countries. Territorial boundaries ? A country's borders. Human rights ? Individual rights that belong to every person and are not granted by a government.
Alliance contracting is the term usually applied to project or service delivery where there is one contract between the owner/financier/commissioner and an alliance of parties who deliver the project or service. An alliance contract creates a collaborative environment without the need for new organisational forms.
The underlying premise of a traditional contract is adversarial in that each party seeks its own best commercial interests. In an alliance contract both parties, contractor and client, accept a collective responsibility for risk, performance and outcome (gain-sharing / pain-sharing) and avoid a blame culture.
Though less formal than other types of agreements, a strategic alliance is often still bound with a contractual obligation that legally binds the actions of each alliance member.
Overview of alliance contracting Alliance contracts bring innovation and collaboration between the contract parties to the forefront during the procurement process where target outturn cost and performance targets are set for the joint (integrated) owner-contractor project team.